were running to and fro, cackling like
geese.

Mary Lynch got scared at the surf, and began screaming like a fool,
when Lizzie became convulsed with fear, and one of the natives
rushed to her, caught her out of Mary's arms, and carried her
swiftly to Mrs. Sherman, who, by that time, was in the boat, but
Lizzie had fainted with fear, and for a long time sobbed as though
permanently injured. For years she showed symptoms that made us
believe she had never entirely recovered from the effects of the
scare. In due time we reached the steamer Sierra Nevada, and got a
good state-room. Our passage up the coast was pleasant enough; we
reached San Francisco; on the 15th of October, and took quarters at
an hotel on Stockton Street, near Broadway.

Major Turner remained till some time in November, when he also
departed for the East, leaving me and Nisbet to manage the bank. I
endeavored to make myself familiar with the business, but of course
Nisbet kept the books, and gave his personal attention to the
loans, discounts, and drafts, which yielded the profits. I soon
saw, however, that the three per cent. charged as premium on bills
of exchange was not all profit, but out of this had to come one and
a fourth to one and a half for freight, one and a third for
insurance, with some indefinite promise of a return premium; then,
the cost of blanks, boxing of the bullion, etc., etc. Indeed, I
saw no margin for profit at all. Nisbet, however, who had long
been familiar with the business, insisted there was a profit, in
the fact that the gold-dust or bullion shipped was more valuable
than its cost to us. We, of course, had to remit bullion to meet
our bills on New York, and bought crude gold-dust, or bars refined
by Kellogg & Humbert or E. Justh & Co., for at that time the United
States Mint was not in operation. But, as the reports of our
shipments came back from New York, I discovered that I was right,
and Nisbet was wrong; and, although we could not help selling our
checks on New York and St. Louis at the same price as other
bankers, I discovered that, at all events, the exchange business in
San Francisco was rather a losing business than profitable. The
same as to loans. We could loan, at three per cent. a month, all
our own money, say two hundred and fifty thousand dollars, and a
part of our deposit account. This latter account in California was
decidedly uncertain. The balance due depositors would run down to
a mere